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31 Dec 2014
EUR/USD might retrace towards 1.2240 levels – AceTrader
FXStreet (Barcelona) - Analysts at AceTrader hold a long position for the EUR/USD pair, anticipating it to retrace towards 1.2240 levels.
Key Quotes
“Although euro continued its recent losing streak on Tue n easily penetrated Mon's 1.2142 low to a fresh 29-month trough of 1.2123 in Asia, intra-day sharp selloff in dlr/yen triggered a brief short covering rally to 1.2187 in Europe. Euro later moved narrowly in subdued NY session.”
“Looking at the bigger picture, despite Tue's resumption of MT downtrend fm 2014 high at 1.3995 (May) to 1.2123, as this low was accompanied by 'bullish convergences' in the hourly indicators, subsequent rebound suggests a temporary low has possibly been made a choppy consolidation with mild upside bias is envisaged. A minimum 38.2% r of the intermediate fall fm 1.2474 wud push price to 1.2257, however, reckon 1.2298 (50% r) wud cap present rise n yield another leg of decline next week.”
“Therefore, while trading euro fm long side in anticipation of further gain to indicated targets is recommended, position player can sell on such rise for subsequent weakness to 1.2042 (2012 trough).”
“Today, euro's narrow 1.2151-1.2181 range in NY suggests sideways move wud continue in subdued Asian trading, we're holding a long position in anticipation of a retrace. to 1.2240 n only below 1.2123 risks one more fall to 1.2100.”
Key Quotes
“Although euro continued its recent losing streak on Tue n easily penetrated Mon's 1.2142 low to a fresh 29-month trough of 1.2123 in Asia, intra-day sharp selloff in dlr/yen triggered a brief short covering rally to 1.2187 in Europe. Euro later moved narrowly in subdued NY session.”
“Looking at the bigger picture, despite Tue's resumption of MT downtrend fm 2014 high at 1.3995 (May) to 1.2123, as this low was accompanied by 'bullish convergences' in the hourly indicators, subsequent rebound suggests a temporary low has possibly been made a choppy consolidation with mild upside bias is envisaged. A minimum 38.2% r of the intermediate fall fm 1.2474 wud push price to 1.2257, however, reckon 1.2298 (50% r) wud cap present rise n yield another leg of decline next week.”
“Therefore, while trading euro fm long side in anticipation of further gain to indicated targets is recommended, position player can sell on such rise for subsequent weakness to 1.2042 (2012 trough).”
“Today, euro's narrow 1.2151-1.2181 range in NY suggests sideways move wud continue in subdued Asian trading, we're holding a long position in anticipation of a retrace. to 1.2240 n only below 1.2123 risks one more fall to 1.2100.”